Eminent Domain Bill Passes Texas Legislature

Senate Bill 7, a bill that would limit the government's ability to take property from private owners through eminent domain has been passed by the Texas legislature and expected to be signed by Governor Rick Perry.

The bill restricts local governments from using their eminent domain powers to take privately owned property so they can turn it over to retail, industrial or residential developers. It was passed in response to the U.S. Supreme Court’s controversial Kelo v. New London decision which greatly expanded government’s power to take private property. Texas is the 3rd state since that decision to pass legislation that would prevent local governments from using eminent domain for tax boosting enterprises. Similar legislation has been announced or filed in at least 31 states.